Financial Review: ITT (NYSE:ITT) & TROOPS (NASDAQ:TROO)

ITT (NYSE:ITT) and TROOPS (NASDAQ:TROO) are both multi-sector conglomerates companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, analyst recommendations, profitability, institutional ownership and valuation.

Valuation and Earnings

This table compares ITT and TROOPS”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ITT	$3.94 billion	4.43	$488.00 million	$5.67	34.42
TROOPS	$17.10 million	29.15	-$27.91 million	N/A	N/A

ITT has higher revenue and earnings than TROOPS.

Analyst Recommendations

This is a breakdown of current ratings and target prices for ITT and TROOPS, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ITT	0	1	10	0	2.91
TROOPS	1	0	0	0	1.00

ITT presently has a consensus target price of $234.91, indicating a potential upside of 20.37%. Given ITT’s stronger consensus rating and higher possible upside, research analysts clearly believe ITT is more favorable than TROOPS.

Volatility & Risk

ITT has a beta of 1.32, meaning that its share price is 32% more volatile than the S&P 500. Comparatively, TROOPS has a beta of 3.72, meaning that its share price is 272% more volatile than the S&P 500.

Profitability

This table compares ITT and TROOPS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ITT	10.80%	16.83%	8.61%
TROOPS	N/A	N/A	N/A

Institutional and Insider Ownership

91.6% of ITT shares are held by institutional investors. 0.9% of ITT shares are held by insiders. Comparatively, 1.1% of TROOPS shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

ITT beats TROOPS on 9 of the 12 factors compared between the two stocks.

About ITT

ITT Inc., together with its subsidiaries, manufactures and sells engineered critical components and customized technology solutions for the transportation, industrial, and energy markets in the United States and internationally. The Motion Technologies segment manufactures brake pads, shims, shock absorbers, and energy absorption components; and sealing technologies primarily for the transportation industry, including passenger cars, trucks, light- and heavy-duty commercial and military vehicles, buses, and trains. This segment sells its products under ITT Friction Technologies, KONI, Wolverine Advanced Materials, Axtone, Novitek, and GALT. brand names. The Industrial Process segment provides industrial pumps, valves, and plant optimization and remote monitoring systems and services; and aftermarket solutions, such as replacement parts and services. It serves various customers in industries, such as chemical, energy, mining, and other industrial process markets. This segment sells its products under Goulds Pumps, Bornemann, Engineered Valves, PRO Services, C'treat, i-ALERT, Rheinhütte Pumpen, and Habonim brand names. The Connect & Control Technologies segment designs and manufactures a range of engineered connectors and specialized products for critical applications supporting various markets, including aerospace and defense, industrial, transportation, medical, and energy. This segment provides connector products, such as circular, rectangular, radio frequency, fiber optic, D-sub miniature, micro-miniature, and cable assemblies; and control products consist of highly engineered actuation, flow control, energy absorption, environmental control, and composite component solutions for the aerospace, defense, and industrial markets under Cannon, VEAM, BIW Connector Systems, Aerospace Controls, Enidine, Compact Automation, Neo-Dyn Process Controls, Conoflow, and Micro-Mode brand names. The company was incorporated in 1920 and is headquartered in Stamford, Connecticut.

About TROOPS

TROOPS, Inc., together with its subsidiaries, engages in the money lending business in Hong Kong and Australia. The company provides mortgage, personal, and corporate loans; operates online financial marketplace through a platform for money lending, system integration, and consultation services; and invests in real estate properties in Hong Kong. It also offers fintech and IT support services, which includes artificial intelligence, big data and blockchain technology, machine learning, fingerprint ID, facial recognition, and cloud computing, and GFS strives; and engages in property leasing and management services. The company was formerly known as SGOCO Group, Ltd. and changed its name to TROOPS, Inc. in November 2021. TROOPS, Inc. was founded in 2005 and is headquartered in Tsuen Wan, Hong Kong.